Enabling Paradigm Shift Towards Low-carbon Transport in Montenegro
Summary
The project aims to shift Montenegro's transport paradigm toward low-carbon mobility through two main outputs: the design of an integrated, high-quality public transport system and the increased deployment of electric cars. It targets the reduction of 77,000 tCO2e in direct emissions over 10 years and 468,000 tCO2e in indirect emissions over 20 years. The strategy involves regulatory reforms, such as a carbon-based vehicle circulation tax, and financial incentives provided by the Green Climate Fund and the national Eco-Fund to make electric vehicles and buses financially attractive. Key targets include the procurement of 70 electric or hybrid buses and 1,300 electric cars for individuals, corporations, and public administration.
Key insights
- Montenegro's transport sector is the only sector with increasing greenhouse gas emissions, which were estimated at 0.573 million tCO2e (20% of national emissions) in 2015 and are projected to reach 0.993 million tCO2e (30% of national emissions) by 2030.
- The project aims to reduce GHG emissions by 30,000 tCO2e during its 6-year duration, with a total estimated impact of 77,000 tCO2e in direct emissions over a 10-year asset lifetime and 468,000 tCO2e in indirect emissions over 20 years.
- The project targets the replacement of 1,300 internal combustion engine cars with electric vehicles, consisting of 300 for individuals, 700 for corporate fleets (including 300 taxis in Podgorica), and 300 for public administration.
- To support the transition of the public transport fleet, the project intends to provide incentives for 70 electric or hybrid buses, representing approximately 16% of the national fleet providing regular urban and inter-urban services.
- The project will expand waterborne intercity transport in Kotor Bay by adding 5 hybrid and electric boats and 13 terminals, aiming for an additional 1,200,000 trips per year by the end of the project.
- Charging infrastructure will be expanded through the installation of 15 public fast chargers at gas stations, 60 fast chargers at corporate fleet depots, and 150 slow chargers for domestic use.
- A key regulatory reform involves introducing a progressive carbon-based scheme for the vehicle circulation tax to create a sustainable revenue stream for the Eco-Fund, which is expected to generate EUR 4.5 million annually.
- The total indicative cost of the project is USD 50.5 million, with USD 12.4 million requested as a grant from the Green Climate Fund and USD 38.1 million in co-financing from the Eco-Fund, the Investment and Development Fund (IDF), and other partners.
Cite the original document
- APA
- Green Climate Fund (2019). Enabling Paradigm Shift Towards Low-carbon Transport in Montenegro. https://www.greenclimate.fund/sites/default/files/document/23160-enabling-paradigm-shift-towards-low-carbon-transport-montenegro.pdf
- Chicago
- Green Climate Fund. Enabling Paradigm Shift Towards Low-carbon Transport in Montenegro. 2019. https://www.greenclimate.fund/sites/default/files/document/23160-enabling-paradigm-shift-towards-low-carbon-transport-montenegro.pdf.
- Wikipedia
- {{cite report |author=Green Climate Fund |title=Enabling Paradigm Shift Towards Low-carbon Transport in Montenegro |date=7 December 2019 |url=https://www.greenclimate.fund/sites/default/files/document/23160-enabling-paradigm-shift-towards-low-carbon-transport-montenegro.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{greenclimatefund2019enabling, author = {{Green Climate Fund}}, title = {{Enabling Paradigm Shift Towards Low-carbon Transport in Montenegro}}, institution = {Green Climate Fund}, year = {2019}, month = dec, url = {https://www.greenclimate.fund/sites/default/files/document/23160-enabling-paradigm-shift-towards-low-carbon-transport-montenegro.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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